PAY vs IIIV

For growth investors, Paymentus Holdings, Inc.

(PAY) is the stronger pick with 37. 3% revenue growth year-over-year, versus -7. 3% for i3 Verticals, Inc. (IIIV). i3 Verticals, Inc. (IIIV) offers the better valuation at 40. 9x trailing P/E (20. 3x forward), making it the more compelling value choice. Analysts rate i3 Verticals, Inc. (IIIV) a "Buy" — based on 14 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, i3 Verticals, Inc.

(IIIV) is the cheapest at 40. 9x versus Paymentus Holdings, Inc. at 53. 6x. On forward P/E, i3 Verticals, Inc. is actually cheaper at 20. 3x.

Over the past 5 years, Paymentus Holdings, Inc.

(PAY) delivered a total return of -2. 7%, compared to -27. 6% for i3 Verticals, Inc. (IIIV). Over 10 years, the gap is even starker: IIIV returned +24. 9% versus PAY's -2. 7%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), i3 Verticals, Inc.

(IIIV) is the lower-risk stock at 0. 92β versus Paymentus Holdings, Inc. 's 0. 95β — meaning PAY is approximately 3% more volatile than IIIV relative to the S&P 500. On balance sheet safety, i3 Verticals, Inc. (IIIV) carries a lower debt/equity ratio of 1% versus 2% for Paymentus Holdings, Inc. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Paymentus Holdings, Inc.

(PAY) is pulling ahead at 37. 3% versus -7. 3% for i3 Verticals, Inc. (IIIV). On earnings-per-share growth, the picture is similar: Paymentus Holdings, Inc. grew EPS 48. 6% year-over-year, compared to -87. 9% for i3 Verticals, Inc.. Over a 3-year CAGR, PAY leads at 34. 0% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

i3 Verticals, Inc.

(IIIV) is the more profitable company, earning 8. 4% net margin versus 5. 6% for Paymentus Holdings, Inc. — meaning it keeps 8. 4% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: PAY leads at 6. 3% versus 1. 9% for IIIV. At the gross margin level — before operating expenses — IIIV leads at 55. 7%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

On forward earnings alone, i3 Verticals, Inc.

(IIIV) trades at 20. 3x forward P/E versus 35. 8x for Paymentus Holdings, Inc. — 15. 5x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for IIIV: 26. 6% to $29. 00.

None of the stocks in this comparison currently pay a material dividend.

All are effectively zero-yield and should be held for capital appreciation rather than income.

For long-horizon retirement investors, i3 Verticals, Inc.

(IIIV) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 92)). Both have compounded well over 10 years (IIIV: +24. 9%, PAY: -2. 7%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Technology sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

In terms of investment character: PAY is a small-cap high-growth stock; IIIV is a small-cap quality compounder stock. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.